BUD APAC(HK:01876) BOCOM International·2025-07-31 14:19Investment Rating - The report assigns a "Buy" rating for Budweiser APAC (1876 HK) [4][15]. Core Insights - The company experienced a 5.6% year-on-year decline in revenue for the first half of 2025, with a total revenue of $3.14 billion. The EBITDA also fell by 8.0% to $980 million, reflecting challenges in sales and a slow premiumization process [2][8]. - The report anticipates a marginal recovery in the second half of 2025, particularly in the Chinese market, as the company focuses on expanding non-immediate consumption channels [2][7]. - The target price for Budweiser APAC is set at HKD 10.15, indicating a potential upside of 15.7% from the current price of HKD 8.77 [1][12]. Financial Overview - Revenue projections for Budweiser APAC show a decline from $6.856 billion in 2023 to $6.176 billion in 2025, with a slight recovery expected in subsequent years [3][13]. - The net profit is forecasted to decrease from $852 million in 2023 to $741 million in 2025, with a gradual increase to $871 million by 2027 [3][13]. - The EBITDA margin is expected to decline from 29.5% in 2023 to 29.2% in 2025, with a slight recovery anticipated thereafter [14]. Market Performance - The stock has shown a year-to-date increase of 17.09%, with a 52-week high of HKD 10.82 and a low of HKD 6.94 [6][12]. - The average daily trading volume is reported at 21.61 million shares, indicating active market participation [6].